BHP saw a $68.4B market cap increase this week. What's your take on RIO?
As a technical analyst, I will provide a comparative analysis of Google (BHP) and Spotify (RIO) based on the provided information.
Last week, BHP saw a significant increase in its market capitalization, with the stock rising by +3.79% and its market cap increasing by $68.4B. This increase was driven by a positive market sentiment towards the mining and minerals industry as a whole, with over 58% of stocks in the Other Metals/Minerals Industry being in an uptrend.
A.I.dvisor, a technical analysis tool, also identified a positive signal for BHP. The Moving Average Convergence Divergence (MACD) for BHP turned positive on May 08, 2023, indicating a potential upward trend in the stock's price. When looking at past instances where BHP's MACD turned positive, the stock continued to rise in 36 out of 45 cases over the following month, indicating strong odds of a continued upward trend.
In terms of earnings, BHP has been performing well in recent quarters. In its most recent earnings report for the first quarter of 2023, the company reported underlying earnings of $9.5B, a 42% increase from the same period last year. The company's revenue for the quarter was $24.9B, up from $16.5B in the previous year.
BHP's iron ore production also increased by 12% year-on-year, while its copper production increased by 9%. These strong results were driven by higher commodity prices and increased production volumes, as well as cost savings and productivity improvements.
Looking ahead, BHP is well-positioned to continue delivering strong earnings results. The company has a strong balance sheet and a diversified portfolio of commodities that provides some protection against commodity price volatility. In addition, the company has several growth projects in the pipeline, including the development of the Jansen potash project in Canada, which is expected to contribute to long-term earnings growth.
BHP Group's recent market cap increase and positive technical signal, along with its strong earnings performance, bode well for the company's future prospects. However, as with any investment, investors should conduct their own due diligence and consider factors such as the company's financial position, industry trends, and macroeconomic factors before making any investment decisions.
Technical Analysis: BHP: $60.87 vs. RIO: $63.87
RIO has a slightly higher stock price than BHP.
Brand Notoriety:
- BHP: Notable
- RIO: Not notable
BHP has a more notable brand presence than RIO.
Industry: Both companies operate within the Other Metals/Minerals industry.
Trading Volume:
- BHP: 83% of the 65-day moving average
- RIO: 64% of the 65-day moving average
BHP's current trading volume is relatively higher than RIO's when compared to their respective 65-day moving averages.
Market Capitalization:
- BHP: $216.82B
- RIO: $102.27B
BHP has a significantly larger market capitalization than RIO. In comparison to the industry, BHP's market cap is much higher than the average market cap of $2.44B, whereas RIO's market cap is also above the average but not as substantial as BHP's.
Earnings Analysis:
Based on the available information, we can't provide a direct comparison of the earnings for BHP and RIO. However, we can derive some insights from the provided information.
- BHP's higher market capitalization and brand notoriety may suggest stronger financial performance and investor confidence.
- BHP's higher trading volume in relation to the 65-day moving average could indicate increased interest from investors or traders, which might be driven by recent news or earnings reports.
It's important to note that this technical analysis is limited due to the absence of fundamental data such as revenues, earnings per share, and price-to-earnings ratios. To make a more informed decision, you may want to consider additional data points and possibly consult financial statements or other fundamental metrics.
BHP in +4.08% Uptrend, advancing for three consecutive days on September 15, 2023
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where BHP advanced for three days, in of 319 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where BHP's RSI Oscillator exited the oversold zone, of 27 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on September 08, 2023. You may want to consider a long position or call options on BHP as a result. In of 77 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for BHP just turned positive on August 30, 2023. Looking at past instances where BHP's MACD turned positive, the stock continued to rise in of 46 cases over the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 56 cases where BHP's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
BHP moved below its 50-day moving average on September 21, 2023 date and that indicates a change from an upward trend to a downward trend.
The 50-day moving average for BHP moved below the 200-day moving average on August 17, 2023. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BHP declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
BHP broke above its upper Bollinger Band on September 14, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for BHP entered a downward trend on September 06, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.338) is normal, around the industry mean (6.456). P/E Ratio (11.136) is within average values for comparable stocks, (97.855). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (3.103). Dividend Yield (0.060) settles around the average of (0.061) among similar stocks. P/S Ratio (2.675) is also within normal values, averaging (225.893).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 87, placing this stock better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. BHP’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a developer of natural resources
Industry OtherMetalsMinerals
BHP and
Correlation & Price change
A.I.dvisor indicates that over the last year, BHP has been closely correlated with RIO. These tickers have moved in lockstep 94% of the time. This A.I.-generated data suggests there is a high statistical probability that if BHP jumps, then RIO could also see price increases.
| Ticker / NAME | Correlation To BHP | 1D Price Change % | ||
|---|---|---|---|---|
| BHP | 100% | +1.94% | ||
| RIO - BHP | 94% Closely correlated | +0.52% | ||
| FCX - BHP | 81% Closely correlated | -0.21% | ||
| SCCO - BHP | 80% Closely correlated | -1.67% | ||
| VALE - BHP | 76% Closely correlated | +0.73% | ||
| HBM - BHP | 74% Closely correlated | -0.21% | ||
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